About Company’s Business:
The company specializes in manufacturing Heating Equipment, including process fired heaters, reformers, and cracking furnaces. These products are essential for industries such as oil and gas refineries, petrochemical, and fertilizer sectors. The company offers a range of services from thermal design and engineering to manufacturing, supplying, installing, and commissioning Heating Equipment. They serve both domestic and international markets. In the Indian heating equipment market, the company faces stiff competition among seven key players, with the company and Thermax Limited being the most prominent and comparable, as indicated by the F&S Report. Over time, the company has expanded its offerings to include flares and incinerator systems and is developing expertise in the renewable sector, particularly in green hydrogen technologies.
About the Industry:
India ranks as the third-largest oil consumer globally, with oil demand projected to reach 11 million barrels per day by the year 2045. Between the fiscal years 2024 and 2029, the demand for Heating Equipment from Indian industries, including refineries, petrochemicals, and fertilizer (urea) sectors, is estimated to be â‚ą 270,890 million. This translates to an annualized demand of approximately â‚ą 45,000 million. Specifically, 61% of this demand is expected to come from the petrochemical sector, 37% from refineries, and 2% from the fertilizer (urea) industry. Moreover, the breakdown of this demand by equipment type shows that 46% will come from cracking furnaces, 24% from low capital expenditure heaters, 16% from high capital expenditure heaters, and 14% from reformers.
Key Financial Information (â‚ą in million):
| Particulars | Nine months ended December 31, 2023 | As at and for the year ended March 31, 2023 | As at and for the year ended March 31, 2022 | As at and for the year ended March 31, 2021 |
|---|---|---|---|---|
| Equity Share capital) | 96.78 | 96.00 | 96.00 | 6.00 |
| Net Worth | 1,685.61 | 1,221.70 | 721.80 | 368.17 |
| Revenue from operations | 2,533.93 | 4,073.02 | 2,963.96 | 1,377.21 |
| Profit/(Loss) for the period/year | 462.11 | 463.62 | 359.83 | 164.76 |
| Basic EPS | 9.55 | 9.66 | 7.50 | 3.43 |
| Diluted EPS | 9.49 | 9.51 | 7.50 | 3.43 |
| Net Asset Value per Equity Share | 34.84 | 25.45 | 15.04 | 7.67 |
| Total borrowings | 567.33 | 337.63 | 59.90 | 89.50 |
Objective of the Issue:
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Funding working capital requirements
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General corporate purposes.
For more detailed information, you can refer to the IPO Prospectus (RHP) filed by the company.
| Important information regarding the IPO | |
|---|---|
| Open Date | Tuesday, April 23, 2024 |
| Close Date | Thursday, April 25, 2024 |
| Issue Size | â‚ą649.47 Crores |
| Price | â‚ą395 to â‚ą415 per share |
| Lot Size | 36 Shares |
| Basis of Allotment | Friday, April 26, 2024 |
| Initiation of Refunds | Monday, April 29, 2024 |
| Credit of Shares to Demat | Monday, April 29, 2024 |
| Listing Date | Tuesday, April 30, 2024 |
How to apply for this IPO?
You can locate the redirection link to the IPO on the home screen of the Dhan App. Alternatively, you can access it by navigating to the “Money” Section at the bottom right and swiping right to reach the “IPO” Tab.
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